Suppose you owned a nationally chartered bank. Your bank assets will increase when
a. the Fed buys government bonds from your bank on the open market
b. the Treasury sells government bonds to your bank on the open market
c. depositors take funds out of their demand deposit accounts at your bank
d. the Fed sells government bonds to your bank on the open market
e. the Fed lowers the discount rate
D
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Physical capital refers to stocks and bonds
Indicate whether the statement is true or false
The law of demand states that:
A. as the price of a good increases, more units are demanded. B. there is a direct relationship between the price of a good and the quantity of the good produced. C. there is a negative relationship between the price of a good and the quantity of the good demanded. D. there is an increase in the need for a good as the price of the good increases.